Two Year Leases

We signed a two year lease in Aug. 08 and regret that now. A similar apartment (a shade less appealing) in our building is now listed for $1500 less. Tell them you only want 1 year and have other options, unless they are offering a below-market rate right now. If we could get out of lease now, we would only sign for a year at a time.

If only there was a favored nations clause...

Actually, we are offering to sign a two-year lease in exchange for a significant haircut from the asking rent. We hate moving (the time, the costs, the inconvenience).

j6 - but even if you got MFN you might never know if the landlord actually abided by it. in a small building, you might get the info out of the neighbor, but in a larger one i'm not sure the provision would really help.

my colleague was being pushed by a landlord last month to take two year lease with the first year well below (down ~25%) the previous rent then something like an 8% increase in the second year. she considered going back with two years, no increase, but finally decided to draw the line at one year and bet that the market will be even more tenant friendly in a year. landlord blinked

i coming to the end of my lease and will be moving.i agree with TripleP..

they are offering one month free with a two year

I think you need to tell us how the asking rate compares to the market. 1 mo free for 24 months assuming the monthly rate is in-line with the market is insufficient to say the least. You should get at least 2 months free if not 3 and a below market ask. You are giving the landlord exceptional visibility and should be compensated for it.

talking about at market price or a little below and no security deposit also

Fall in love with some other place. Seems pretty unlikely rents go up next year. You're better off with 1-2 months off a one-year lease- demand this place make a concession for the 2nd year or you walk.

Anyone gotten more than a month as concession on a two year lease in UWS?

Anyone?

We've lived in the same apartment for almost five years and have always had to sign a two year lease.
It worked out well for the first few years, but when we resigned our lease June 2008, oil prices were very hign and now we are stuck overpaying for the last year of our lease. Don't do it unless you're willing to deal with all the possible consequences of such a long lesae. It only favors the owner, not the tenant.

I disagree entirely. It DEPENDS. I signed at two year lease in fidi in 2002 and was genius. I re-signed a two year lease in Fidi in 2004 when rents were still soft there, and when they were jacked up like a MONTH later, i was brainiac+reed richards+lex luthor+tony stark. Its just timing. And luck. And a 500 IQ. two of the three.

We've been looking on the UWS and haven't found anything better than 1 month off of a two year lease. However, we just were able to negotiate 14% off current ask for a two-year lease.

"I am nervous that the rental market has not bottomed out and I will be stuck with an overpriced rental for a year."

Slumdog - are you locking in the same rate for 2 years or is there an rent increase for year 2 built into the lease? are you someone who would move year after year? would you have to pay movers, and perhaps a brokers fee, in order to get a cheaper place in year 2? would you really save money, or break even? some things to consider...

Yeah, I agree with "it depends". Landlord is getting visibility, but you are saving the trouble and risks of renegotiating in a year, and there are no guarantees where rents will be in a year, especially if inflation kicks in (not saying it will, but it's at least a possibility)

As one data point, we talked to a lot of landlords in December 2008, and actually wanted a 2-year lease. Most were willing to consider it, but NO ONE, anywhere in the city, was offering us discounts for 2-year compared to 1-year. In fact, the apartment we ended up taking was offering 1-month free for 1-year lease. If we wanted a 2nd year, it would not have had any months free, and would have had a small rent increase for the second year. We said no thanks and signed the 1-year.

If you're pretty sure rents will be down a year from now, insist on big discount for 2-year, or just sign a 1-year. But if you're not sure, and the security is more important to you than the possibility of overpaying by a bit, then sign a reasonable 2-year and forget about it. Just my 2 cents.

uswmom - Good point, rents would need to drop another 20% make a move a financial break even. Finding an apartment in New York is something that should be easier than it is. The sleazy brokers, slimmy landlords, slummy apartments, and shady movers make for a very stressful month.

uwsmom - one month free and no second year increase

Triple P - 14% off the listed?

What we negotiated was 14% off what the current tenant (who has to relocate for work) is paying.